Ethical Decision-Making Framework

CFA Level I Financial Reporting & Analysis · 5:12

Listen on 93

Lyrics

[Verse 1]
When Sarah sees her colleague trade on inside news
She faces a dilemma, what path should she choose
The client information wasn't meant to be shared
But reporting might damage relationships she's prepared
These moments test our judgment in the finance game
Where right and wrong aren't always crystal clear and plain

[Chorus]
Stop and think, identify the issue at hand
Apply the Standards, take your ethical stand
Report violations, duty to dissociate
When local law conflicts, the Code navigates
Remember DIMR - Detect, Inquire, Make the call, Report
Ethics first, that's our professional support

[Verse 2]
Tom's firm receives research from a broker today
But they're paying higher commissions along the way
These soft dollar arrangements walk a narrow line
Must benefit the client, not cross that design
The research has to help with investment decisions clear
Not office supplies or trips, let's make that point sincere

[Chorus]
Stop and think, identify the issue at hand
Apply the Standards, take your ethical stand
Report violations, duty to dissociate
When local law conflicts, the Code navigates
Remember DIMR - Detect, Inquire, Make the call, Report
Ethics first, that's our professional support

[Bridge]
When whistleblowing calls, don't look the other way
Start with supervisors, then regulatory display
If local laws are weak but Standards demand more
Follow the stricter path, that's what the Code is for
Dissociate from violations you cannot prevent
Your professional integrity is never for rent

[Verse 3]
Maria's case study shows a complex scene
Multiple interests clash, not everything's clean
She identifies the conflicts, maps out every side
Applies each Standard carefully as her trusted guide
Real world scenarios test what we've learned
Where ethical framework helps bridges to be burned

[Chorus]
Stop and think, identify the issue at hand
Apply the Standards, take your ethical stand
Report violations, duty to dissociate
When local law conflicts, the Code navigates
Remember DIMR - Detect, Inquire, Make the call, Report
Ethics first, that's our professional support

[Outro]
In every transaction, every client call
Ethical decision-making guides us through it all
DIMR your pathway, Standards as your light
Doing what is wrong never makes it right

← DuPont Analysis: Decomposing Return on Equity | Trend Analysis and Common-Size Statements →